We recently published 10 Stocks Jim Cramer Talked About As He Said Everyone Won From Trump’s Japan Deal. Northrop Grumman Corporation (NYSE:NOC) is one of the stocks Jim Cramer recently discussed.
Northrop Grumman Corporation (NYSE:NOC) is a well-known defense contractor with a presence in the aircraft and missile industries. Its shares have gained 22% year-to-date, helped in large part by an 11% jump in July. Northrop Grumman Corporation (NYSE:NOC)’s stock soared due to its second-quarter earnings report, which saw the firm raise its midpoint full-year profit-per-share forecast to $25.20 from an earlier $25.15. The firm’s $10.35 billion in revenue also beat analyst estimates of $10.07 billion. In his previous remarks about Northrop Grumman Corporation (NYSE:NOC), Cramer called the firm catastrophic after its Q1 results. This time, he struck a different tone:
“And Northrop Grumman, for worldwide sales. So we’re seeing a lot of bifurcation in a lot of different industries.”
Here’s what Cramer said about Northrop Grumman Corporation (NYSE:NOC) after its Q1 results:
“Finally, there’s Northrop Grumman, which was the dud of the day, reporting a severe top and bottom line miss for the first quarter, and cutting its full year earnings forecast pretty substantially. Now there’s some important context here. Both the miss and the forecast cut were related to Northrop Grumman’s next-generation B-21 bomber program. They’re taking a hit on the higher cost as they try to ramp up production.
Photo by NASA on Unsplash
That said, even if you add that back, the impact from the B-21 charge, Northrop Grumman still would’ve missed the sales and earnings estimate. It just would’ve been a smaller disappointment. These Northrop Grumman results simply weren’t up to snuff, so the stock had its worst day since 2008 today, falling $67 or nearly 13%. This one’s now in the penalty box.”
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Disclosure: None. This article is originally published at Insider Monkey.
